On occasion, we’re asked to provide educational videos for traders who are not yet ready to make the leap to purchase a recommended day trading system. Free trading videos that describe an exact trading method can be extremely helpful for beginners. In the video below, John Paul from Day Trade to Win describes an a powerful, yet elementary (pardon the pun) price action method called the ABC Pattern.

By splitting the day into three separate units based on time, the ABC Pattern allows traders to recognize trend patterns. These patterns help predict the direction of price for the current and proceeding section. When price breaks the range of the previous segment, we are provided with a new direction. As mentioned in the video, the beginning (A) part of the day (9:30 a.m. to 12:00 p.m.) is the best for trading because of big player stakes. Most of the time, the following part of the day (B) is usually slow unless it’s one of those rare days where a trend takes hold of the market. Part C can be very interesting as demonstrated by manipulation and placement for the following day. Be prepared for the sell-offs or rallies before the bell rings. Again, watch for the previous segment’s range to break before entering.

Yes, this works for other futures, currencies and commodities.

See how there are no indicators used? The rules are entirely objective. This is exactly how Day Trade to Win’s instruction is based. Of course, the other methods go into much more detail and vary widely in approach (from scalping to recognizing candle pattern setups). Right now, Day Trade to Win is accepting students at reduced admission for its 2012 Mentorship Program (that begins Jan. 5, 2012). You can register for day trading education at any time this month to receive 2011 prices.

CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.

GOVERNMENT REGULATIONS REQUIRE DISCLOSURE OF THE FACT THAT WHILE THESE METHODS MAY HAVE WORKED IN THE PAST, PAST RESULTS ARE NOT NECESSARILY INDICATIVE OF FUTURE RESULTS. WHILE THERE IS A POTENTIAL FOR PROFITS THERE IS ALSO A RISK OF LOSS. A LOSS INCURRED IN CONNECTION WITH TRADING FUTURES CONTRACTS CAN BE SIGNIFICANT. YOU SHOULD THEREFORE CAREFULLY CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION SINCE ALL SPECULATIVE TRADING IS INHERENTLY RISKY AND SHOULD ONLY BE UNDERTAKEN BY INDIVIDUALS WITH ADEQUATE RISK CAPITAL.

ANY ADVISORY OR SIGNAL GENERATED BY DAY TRADE TO WIN IS PROVIDED FOR EDUCATIONAL PURPOSED ONLY. ANY TRADES PLACED UPON RELIANCE ON WWW.DAYTRADETOWIN.COM SYSTEMS ARE TAKEN AT YOUR OWN RISK FOR YOUR OWN ACCOUNT. PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS. WHILE THERE IS GREAT POTENTIAL FOR REWARD TRADING COMMODITY FUTURES, THERE IS ALSO SUBSTANTIAL RISK OF LOSS IN ALL TRADING. YOU MUST DECIDE YOUR OWN SUITABILITY TO TRADE OR NOT. FUTURES RESULTS CAN NEVER BE GUARANTEED. THIS IS NOT AN OFFER TO BUY OR SELL FUTURES OR COMMODITY INTERESTS.